Losses on Rangatira concern mariners

Press, Volume CXII, Issue 33061, 31 October 1972, Page 18

Losses on Rangatira concern mariners

(New Zealand Press Association)

WELLINGTON, October 30.

The Rangatira was losing $15,000 a week or $750,000 a year, and if this continued the future of the steamer express service would be placed in jeopardy, said the general secretary of the Merchant Service Guild (Captain J. W. Dickinson) today.

Captain Dickinson said that he had been told from another source—a Government one—that the losses were equal to Sim a year but was more inclined to think that they would be in the region of the smaller amount.

Discussions had recently been held between himself, the guild president (Captain T. Dodds), and executives of the Union Steam Ship Company.

These included the group general manager of Thomas Nationwide Transport and deputy chief executive of the Union Steam Ship Company (Mr J. R. Cribb), the general manager of the Union Steam Ship Company (Mr B. S. Cole), the chief general manager of Associated Steamships Pty, Ltd, Australia (Mr P. Norton) and the deputy group general manager of T.N.T. (Mr A. Carmichael). Captain Dickinson said that the meeting had been held to discuss developments for the re-organised Union Company and associated smaller companies. “FAR FROM BRIGHT” “We were told that the company had no immediate plans to terminate coastal shipping services, but the future looks far from bright,” said Captain Dickinson. “We are again reminded of the losses being incurred by the Rangatira and Holmlea and mention was made of unprofitability of the Wanaka.” When the Rangatira’s operation was referred to the assistant general manager of the Union Company (Mr D. C. Jury) he said: “The Rangatira is losing money but we are looking at ways and means of increasing revenue.”

When the figure of $15,000 a week was referred to Mr Jury, he declined to comment on the actual amount. CINEMA INSTALLED Asked how more income might be gained, he said that the company was trying to increase the popularity of the ship. A cinema had been installed. “You can only try,” he said. As far as cargo was concerned the main factor was the rates offered by the Government rail ferries. During the meeting of guild and company executives the railways was also mentioned. Captain Dickinson said that the guild referred to the services run by All Trans through the railways and of the genuine belief of many seafarers that the company was using this as an excuse

to run down the coastal shipping services. Mr Cribb, in reply, he said, admitted that they used the railways as did similar operators in other countries. Mr Cribb also said that if the railways were not protected by legislation the company would be running a fleet of trucks instead. So, in essence, if goods were not carried by rail they would be transported by road. “We were told quite frankly that short distance coastal routes could not compete with rail or road services,” said Captain Dickinson.

Mr Cribb said that he appreciated the concern of guild members at the reduction of ships since the take-over and the absence of tangible evidence of new ships coming forward to take their place.